From Benjamin Franklin

[dateline] Passy, May. 19. 1781

[salute] Sir

I received the Honour of yours, with an Account of the Bills you have to pay.1 I have accepted your Drafts for 77,000 Crowns, at 15 Days Date. The Shortness of
the Term is inconvenient; and as our Money comes to hand by Degrees, and these unexpected
Demands from Holland and Spain oblige me to anticipate our Funds, for which Anticipation
I pay an Interest of five Per Cent, I wish you would for the future draw at two or
three Usances; because this would ease me in providing for the Payment; and tho” the
Discount is consider'd in the Rate of Exchange, yet as that is but 4 Per Cent in Holland,
and is here 5. the Publick would save by it One per Cent: which in such large Transactions,
amounts to a Sum worth saving. I write on this Head to Messrs. Fizeaux & Grand.

I was much surprized to find by your Letter that the Congress continue drawing so
largely on you, without knowing whether you have any Funds in hand. You mention Numbers
from 37 to 76 inclusively. Perhaps all the preceding Numbers, and many succeeding
Ones may soon appear also. I am never informed what to expect and therefore know not
what to provide for. To demand greater Sums of the Ministry than I can shew that I
shall want, would have an ill { 325 } appearance, when I must be sensible of the vast Expence the War occasions, and their
Difficulties in supplying it; and to be coming continually with After-claps succeeding
each other without End, is extreamly disagreable to them as well as to me. They usually
form their Plans at the Beginning of the Year, and appropriate their Funds; this Arrangement
once made, new and unforeseen Demands disturb it, and call for new Consultations and
Determinations, and means of procuring new Funds; all which give Trouble, and put
Friends out of Humour. The Aid granted for this Year, is, as you observe, noble: We
are purchasing with it a variety of necessary Articles demanded by Congress. But the
Uncertainty of what Demands they may think fit to make by way of Bills, must oblige
us to hold our Hands, and retain something to face those unimaginable Drafts; for
absolutely I cannot go to the Minister for more this Year. Last Year Mr. Lovel wrote
to me, that the Congress were very sensible of the Difficulties this wild Drawing
subjected me to; and that if I could obtain wherewith to answer the Drafts then made,
I might rely upon it no more would be issued, 'till the Congress were informed that
I had Funds to answer them: I communicated this Letter to the Minister with my fresh
Demand; I inclose a Copy of his Answer.2 You will by it, feel something better my Situation, when the Congress not only continue
drawing on me, but all their Drafts on you and Mr. Jay come upon me for Payment. I
am really afraid that by these Proceedings, we shall, as the saying is, ride a free Horse to Death. But to the Point, the Bills you mention must be paid; and if you accept them I will
answer your Drafts for that Purpose as they become due. But to enable me to do this,
I must as I observed before, diminish the intended Supplies; there is no other Method
to be taken.

I have, with you, no Doubt that America will be easily able to pay off not only the
Interest but the Principal of all the Debts she may contract this War. But whether
Duties upon her Exports will be the best Method of doing it, is a Question I am not
so clear in. England raised indeed a great Revenue by Duties on Tobacco. But it was
by Virtue of a Prohibition of Foreign Tobaccoes, and thereby obliging the internal
Consumer to pay those Duties. If America were to lay a like Duty of 5 Pence Sterling
Per lb. on the Exportation of her Tobacco, would any European Nation buy it? Would
not the Colonies of Spain and Portugal and the Ukraine of Russia furnish it much cheaper?
Was not England herself obliged for such Reasons to drop the Duty on Tobacco she furnish'd
to France? Would it not cost an immense Sum in Officers &ca. to guard our long Coast
against the { 326 } smuggling of Tobacco, and running it out to avoid the Duty? And would not many even
of those Officers be corrupted and connive at it? It is possibly an erroneous Opinion,
but I find myself rather inclined to adopt that modern one, which supposes it best
for every Country to leave its Trade entirely free from all Incumbrances. Perhaps
no Country does this at present: Holland comes the nearest to it; and her Commercial
Wealth seems to have increased in Proportion.

Your Excellency has done me the Honour of announcing to me your Appointment: I hope
soon to return the Compliment by informing you of my Dismission. I find the various
Employments of Merchant, Banker, Judge of Admiralty, Consul &ca. &c. beside my Ministerial
Function, too multifarious and too heavy for my old Shoulders; and have therefore
requested Congress that I may be relieved: for in this Point I agree even with my
Enemies, that another may easily be found who can better execute them.3

In my last I mentioned to you, that M. De la Motte Piquet's Squadron took 22 Sail
of the 34 coming to England from St. Eustatia. It is now said that a St. Malo's Privateer,
having taken two more, was encouraged by the Admiral to leave the Prizes under his
Care, and pursue the rest; which he did, and falling in with two American Privateers
and another French Privateer, they took between them all the rest, so that not one
of the 34 will arrive in England. If this be true, the Ships that convoyed them will
be able to render but a poor Account of their Conduct.

I send you the late Accounts we have from America of the Action between Des Touches
and Arbuthnot, Greene and Cornwallis. Your causing them to be inserted in the Dutch
Papers, may prevent the Effect of false and exaggerated Reports from England.4

I shall wish to know from you, when you think it proper, the Proceedings of the States
in your Affair; and have the Honour to be, Sir, Your Excellency's Most obedient and
most humble Servant

[signed] B Franklin

Col. Laurens set out yesterday for Brest on his Return. The most perfect Harmony subsisted
between us during his Residence here.— I shall want as soon as possible Information
of the Arrival of the Purchases you make at his Request to send in the Indienne.5

RC (Adams Papers); endorsed: “Mr Franklin. May 19 1781.” For enclosures sent with this letter, see
notes 2, 4 and 5.

2. James Lovell's letter was likely that of 7 Sept. 1780, in which he explained the circumstances that led Congress to resolve on 9, 23, and
30 Aug. to draw additional bills on Franklin and declared “I think I can venture now
to assure you that not a single Draught more will be made upon you, let the Occassion
be ever so pressing.” Franklin enclosed copies of that letter, another from Lovell
of 15 Aug., and Congress' resolutions with his letter to Vergennes of 19 Nov. (Franklin, Papers, 33:259– 260, 193–194; 34:28). Vergennes replied on 26 Nov., and it is probably that
letter that Franklin enclosed. There Vergennes expressed his exasperation at Congress'
decision to draw so heavily on Franklin but promised to provide funds to preserve
Franklin's credit on the assumption that Congress would hold to its pledge not to
issue additional bills (Adams Papers, filmed at 26 Nov., Adams Papers Microfilms, Reel No. 353; Franklin, Papers, 34:72–73). Despite Lovell's assurances, on 19 March Congress authorized an additional
issue of $55,333.33 in bills of exchange, which was equal to approximately £12,500
at the exchange rate specified in the resolution (JCC, 19:278–279).

3. Franklin wrote to the president of Congress on 12 March to request that someone be
appointed in his place because of his age and infirmities. Congress rejected the request
on 19 June (Franklin, Papers, 34:446–448; JCC, 20:676). See also Franklin's letter of 16 Aug., below.

4. Enclosures not found. For more information on their content, see JA's reply of 23 May, below.

This is a summary of a document and does not contain a transcription. If it is available
elsewhere in this digital edition, a page number link will be provided below in the
paragraph beginning "Printed."

To the President of Congress

This letter contained an English translation of Frederick II's ordinance of 30 April
regarding navigation and commerce. The preamble to the ordinance declared that Prussia
would remain neutral in the war then in progress and was in agreement with the principles
set down by Catherine II in her declaration of an armed neutrality. It also noted
that the Northern Powers— Denmark, Sweden, and Russia—had agreed to allow Prussian
ships to join their convoys. The seven articles that followed specifically set down
the conditions under which Prussian subjects could trade with the belligerent powers.
Of particular significance was the fact that naval stores were not to be included
among the goods generally denominated as contraband, which Prussian vessels were prohibited
from carrying. On 19 May, Prussia went further and signed a convention with Russia
by which it acceded to the armed neutrality (Scott, ed., Armed Neutralities of 1780 and 1800, p. 397–403).

This is a summary of a document and does not contain a transcription. If it is available
elsewhere in this digital edition, a page number link will be provided below in the
paragraph beginning "Printed."

To the President of Congress

This letter requested Congress to offer relief to the owners of an unnamed Dutch vessel
captured by a British warship or privateer, recaptured by an American privateer, and
then sold. This letter may refer to the Dutch brig Union, about which John Adams had written to William Greene, governor of Rhode Island,
on 9 May (LbC, Adams Papers). There Adams requested Greene's assistance for Johannes de Lover & Sons of Amsterdam,
the owners of a vessel captured by { 328 } the Revenge, a British privateer commanded by a Capt. Kentith, then recaptured and taken into
Providence. Unfortunately the papers enclosed with Adams' letter to Congress have
not been found, and there is no additional extant correspondence between Adams, Congress,
and Greene on the matter.